LAS VEGAS (FOX5) -
Homeowners who fell victim to a Las Vegas loan modification company scored a big victory Wednesday. Twelve victims got their money back after being scammed out of thousands of dollars.
"It is just devastating. It is so wrong," said Cynthia Stockton, who paid nearly $4,000 to a company called Save Your House. But, instead of saving her home, the company ran away with her money.
"Most homeowners or victims in this type of case who are seeking assistance will do anything they can to save their home. Why not? It's the American dream," said Nevada Attorney General Catherine Cortez Masto.
Two co-owners and an employee of Save Your House were prosecuted by the Attorney General's office for conspiring to knowingly and falsely promote the business as a foreclosure defense firm.
"They would guarantee that they would be able to save their home from foreclosure and they would ask for money up front," Masto said, adding that the company would typically ask for around $3,000.
With most scams, however, the money is long gone. But in this case, Masto said, there is a rare solution - restitution checks to the 12 complaining victims, totaling $43,772.
"I would like to thank the (Attorney General) who helped - and we worked so hard for this money," said Loly Anllo, who received a check Wednesday for $3,000. She added that she was desperate and afraid when she gave up the money to save her home.
"You work hard for your house, and they're taking advantage of that," she said. "It's really bad. It's horrible."
"They played every dirty trick in the book. I swear they did. It's just been nightmarish," Stockton said.
After that nightmare, however, both women cracked a smile now that justice was served.
The Nevada Attorney General's office points out some warning signs to look out for when dealing with a loan modification company:
- It is illegal for a company to make any guarantee that they will save your home.
- Don't pay any money up front.
- Never send your mortgage payment to anyone other than your lender.
- Don't sign your deed to anyone else.
Masto said even though Save Your House has been shut down, more scam artists are popping up in the valley. If you think you've been scammed, contact the Attorney General's Las Vegas office at 486-3420.
Copyright 2012 KVVU (KVVU Broadcasting Corporation). All rights reserved.
Scam victims were issued checks Wednesday, ranging from $500 to $10,750
Loly Anllo is emotional after her $3,000 is returned
